query_question: The Booth Company's sales are forecasted to double from $1,000 in 2010 to $2,000 in 2011. Here is the December 31, 2010, balance sheet: <image 1> Booth's fixed assets were used to only 50% of capacity during 2010, but its current assets were at their proper levels in relation to sales. All assets except fixed assets must increase at the same rate as sales, and fixed assets would also have to increase at the same rate if the current excess capacity did not exist. Booth's after-tax profit margin is forecasted to be 5% and its payout ratio to be 60%. What is Booth's additional funds needed (AFN) for the coming year?
options: []
demo_question_list: For case E in the following table: <image 1>. Calculate the present value of the annuity, assuming that it is an ordinary annuity
  A. $2,822
  B. $374,598
  C. $85,293
  D. $31,492
  E. $810,092
  
  Answer with the option's letter from the given choices directly. The financial statements of Lioi Steel Fabricators are shown below — both the actual results for 2010 and the projections for 2011. Free cash flow is expected to grow at a 6% rate after 2011. The weighted average cost of capital is 11%. <image 1> What is the total value of the company as of 12/31/2010 (in million)?
  
  Answer the question using a single word or phrase. Without referring to the preprogrammed function on your financial calculator, use the basic formula for present value, along with the given opportunity cost, r, and the number of periods, n, to calculate the present value of $1 in case C shown in the following table. <image 1>
  
  Answer the question using a single word or phrase. Clare Jaccard has $5,000 to invest. Because she is only 25 years old, she is not concerned about the length of the investment's life. What she is sensitive to is the rate of return she will earn on the investment. With the help of her financial advisor, Clare has isolated four equally risky investments, each providing a single amount at the end of its life, as shown in the following table. All the investments require an initial $5,000 payment. <image 1> Calculate, to the nearest 1%, the rate of return on investment D available to Clare.
  A. 11%
  B. 8%
  C. 10%
  D. 9%
  
  Answer with the option's letter from the given choices directly.